Scotland: Financial help for liquidity support for SME housebuilders
An emergency loan fund has been announced which will help housebuilders with liquidity.
Who can apply?
SME housebuilders who can demonstrate that:
- They are an existing business in Scotland which has been directly affected by COVID-19
- Their turnover is less than £45 million and they are building five or more homes per annum
- Their business was financially viable before COVID-19
- Funding cannot be secured from existing lenders or their own resources to meet liquidity needs
- The business has been unable to secure sufficient funding from UK Government or other Scottish Government COVID-19 schemes
How much funding is available?
The fund will offer short-term loan funding to applicants to cover 3 months of liquidity support to their business. Key features include:
- Loans available between £50,000 to £1 million
- Fixed interest rates of 2% per annum
- Flexible repayment terms, with the option for capital and Interest payments to be offset for 12 months. The majority of loans are expected to be repaid within 24 months
- Security on loans will be assessed on a case by case basis
- Applicants will be asked to confirm why existing support routes are not appropriate or sufficient.
How do I apply?
- The Fund will be open to applications from 14:00 on 18 May 2020.
- Applicants will be asked to complete a form and provide financial information to support their application.
- ad+ can help you to prepare the information needed to support your application.
What is your next step?
If you wish to discuss further, simply get in touch.
ad+ is here to serve and support our clients during this challenging time.